115310.KQ
INFOvine Co Ltd
Price:  
37,450 
KRW
Volume:  
3,449
Korea, Republic of | Software

115310.KQ WACC - Weighted Average Cost of Capital

The WACC of INFOvine Co Ltd (115310.KQ) is 9.3%.

The Cost of Equity of INFOvine Co Ltd (115310.KQ) is 9.55%.
The Cost of Debt of INFOvine Co Ltd (115310.KQ) is 5%.

RangeSelected
Cost of equity8.1% - 11.0%9.55%
Tax rate15.9% - 16.8%16.35%
Cost of debt5.0% - 5.0%5%
WACC8.0% - 10.7%9.3%
WACC

115310.KQ WACC calculation

CategoryLowHigh
Long-term bond rate3.1%3.6%
Equity market risk premium5.8%6.8%
Adjusted beta0.871.02
Additional risk adjustments0.0%0.5%
Cost of equity8.1%11.0%
Tax rate15.9%16.8%
Debt/Equity ratio
0.050.05
Cost of debt5.0%5.0%
After-tax WACC8.0%10.7%
Selected WACC9.3%

115310.KQ's CAPM model and how its cost of Equity is calculated

The Cost of Equity reflects the return a company needs to deliver to shareholders to justify the risk of investing in its shares. It’s computed using the Capital Asset Pricing Model (CAPM), which blends the risk-free rate, the stock’s beta, and the market risk premium.

This method evaluates the stock’s risk compared to a safe investment and the market’s overall volatility.

Here’s how we figure out the cost of equity for 115310.KQ:

cost_of_equity (9.55%) = risk_free_rate (3.35%) + equity_risk_premium (6.30%) * adjusted_beta (0.87) + risk_adjustments (0.25%)

We include the risk adjustments, which range from 0% to 1%, to keep our WACC conservatives, especially for companies traded in developing markets.